Terms of Service

These Terms and Conditions Apply To All Users

Last Updated: August 2025

Users who have completed Know-Your-Customer and Anti-Money Laundering checks, as well as other onboarding procedures, and are whitelisted with BTCD Labs Ltd. ("BTCD Labs") are referred to herein as a "Verified User." To the extent you have not completed the aforementioned checks or been whitelisted but hold BTCD, these Terms still apply to your holding and use of BTCD (hereinafter referred as "Holding User"). For the avoidance of doubt, Holding Users are not customers of BTCD Labs.

By obtaining and using BTCD, you understand and expressly agree to these Terms, regardless of whether or not you are a customer of BTCD Labs, and you acknowledge that you have reviewed and understand each of the disclosures made in this section. Any provisions of these Terms that only apply to Verified Users or Holding Users will be specifically noted herein. Unless so noted, each Section of these Terms apply to both Verified Users and Holding Users, and any use of "you" or "your" refers to both Verified Users and Holding Users. The terms herein applicable to Verified Users are supplemental to the terms in the BTCD Verified User Agreement.

By holding or using BTCD, staking BTCD (sBTCD), participating in FISC governance, or using any of the BTCD Services, you agree that you have read, understood and accept all of the terms and conditions contained in these Terms, as well as our Privacy Policy, and you acknowledge and agree that you will be bound by these terms and policies.

Section 22 of these Terms governs how these Terms may be changed over time; the date of the last update is set forth at the top of these Terms.

1. About BTCD

BTCD is a digital token issued by BTCD Labs Ltd. (collectively with its affiliates including FISC Protocol Ltd. and Dollar Foundation). BTCD issued by BTCD Labs is a form of stored value or prepaid access and does not represent a claim, participation interest, economic right, voting right, or other similar right associated with BTCD Labs or any of its affiliates.

BTCD is backed by an amount of Bitcoin (BTC) and other reserve assets, along with offsetting hedging positions on derivatives contracts (the "BTCD Reserves").

Unaffiliated third parties, including the Dollar Foundation and FISC Protocol governance participants, provide input on certain parameters associated with the BTCD Reserves. The Dollar Foundation does not have any members, ultimate beneficial owners, or beneficiaries, and exists with the principal objects of supporting the Bitcoin Dollar protocol and its architecture. No shareholders, employees, contractors, ultimate beneficial owners, or other party affiliated with BTCD Labs or its affiliates holds a position of ownership or control with respect to the Dollar Foundation.

BTCD is not designed to intrinsically create returns for holders, increase in value, or otherwise accrue financial benefit to the BTCD holder. However, holders may stake BTCD to receive sBTCD, which may accrue rewards based on protocol performance.

FISC is the governance and value token of the Bitcoin Dollar ecosystem. FISC represents ownership and control of the protocol that manages BTCD and its associated yield-generating infrastructure. As Bitcoin Dollar products attract assets and generate yield, FISC holders capture value through governance-directed revenue sharing mechanisms and maintain control over critical protocol economic decisions. FISC tokens confer cash flow rights and governance rights to tokenholders, allowing them to participate in decisions regarding protocol revenue allocation, reserve management parameters, supported assets, risk parameters, and other material protocol operations.

2. Scope of BTCD and Key Terms

The following only applies to Verified Users: As you have agreed to, and are subject to, the BTCD Verified User Agreement, BTCD Labs makes available the following BTCD-related Services (as defined in the BTCD Verified User Agreement): (i) mint BTCD in exchange for accepted tokens from BTCD Labs, (ii) redeem BTCD for supported assets from BTCD Labs, (iii) stake BTCD to receive sBTCD, and (iv) participate in FISC governance activities (collectively, the "BTCD Services"). Your use of the BTCD Services is subject to these Terms. Any of the BTCD Services can be discontinued at any time in accordance with Section 14 of these BTCD Terms.

You understand and agree that you may only utilize accepted assets to mint BTCD and redeem BTCD directly with BTCD Labs to the extent that you are a Verified User.

The following only applies to Holding Users: You may not redeem BTCD with BTCD Labs unless and until you are a Verified User who has cleared KYC/AML and other checks and have onboarded as a whitelisted customer with BTCD Labs. Eligibility for and requirements related to such process are set forth in the BTCD Verified User Agreement. There is no guarantee that you will be eligible to become a Verified User or that you will be able to redeem BTCD at any particular value.

The following applies to both Verified Users and Holding Users: Your use of BTCD, sBTCD, FISC tokens, and BTCD Services (as applicable), is subject to these Terms and BTCD Labs' obligations hereunder are conditional on you complying with its provisions. You understand that any violation of these Terms may result in potential consequences, including the possible loss or forfeiture of assets tokenized for BTCD.

You understand and agree that sending BTCD to another address automatically transfers and assigns to the owner of that address, and any subsequent owner all rights and obligations of a Holding User to redeem BTCD for approved assets so long as the Holder is or becomes a Verified User. For the avoidance of doubt, if a Holder is not a Verified User, not eligible to become a Verified User, or fails to do so, such Holding User is not entitled to redeem BTCD with BTCD Labs. There is no guarantee regarding the value that may be received upon redemption, if redemption is available at all.

BTCD Labs (or an affiliate designated by BTCD Labs) commits to redeem BTCD for a value relating to its pro rata portion of the BTCD Reserves in supported digital assets, subject to these Terms, applicable law, and any fees where applicable. The redemption value may be significantly less than the minting value and is subject to change based on market conditions, protocol performance, and other factors. While BTCD Labs may hold the BTCD Reserves in interest-bearing accounts or other yield-generating instruments, you acknowledge that you are not entitled to any interest or other returns earned on such funds as a Holding User. As a Verified User, you may be eligible to receive returns by staking BTCD to receive sBTCD or by holding FISC governance tokens, subject to the terms and risks associated with those programs. BTCD does not itself generate any interest or return for holders of BTCD and only represents your right to redeem BTCD as a Verified User, if you are one. If you are a Holding User, you do not have a right to redeem BTCD with BTCD Labs.

3. Staking and Governance

The following only applies to Verified Users: You may stake BTCD to receive sBTCD tokens, which represent staked BTCD and may accrue rewards based on protocol performance. Staking involves risks including smart contract risk, liquidity risk, and the risk that rewards may not be generated. You acknowledge that:

FISC Governance Rights and Economic Participation

FISC tokens represent ownership and control rights in the Bitcoin Dollar ecosystem. By holding FISC tokens, you acknowledge and agree that:

Governance Rights: FISC holders have the right to participate in governance decisions regarding the Bitcoin Dollar protocol, including but not limited to:

Cash Flow Rights: FISC holders may be entitled to receive distributions of protocol-generated revenue through governance-approved mechanisms. You acknowledge that:

Value Capture: As Bitcoin Dollar products attract assets and generate yield, FISC is designed to capture value through governance-directed revenue sharing. However, you acknowledge that:

No Equity or Ownership in BTCD Labs: FISC tokens do not represent equity, ownership, shares, or any ownership interest in BTCD Labs Ltd. or any of its affiliates. FISC tokens only provide governance and potential economic rights within the Bitcoin Dollar protocol ecosystem as described herein.

Participation in FISC governance is subject to additional terms and conditions that will be provided to FISC token holders, including governance proposal processes, voting mechanisms, and execution frameworks.

4. Applicable Laws and Regulations; AML and CTF

Your holding and use of BTCD, sBTCD, FISC tokens, and any use of the BTCD Services, is subject to the laws, regulations, and rules of any applicable governmental or regulatory authority, including, without limitation, all applicable tax, anti-money laundering ("AML") and counter-terrorist financing ("CTF") provisions and sanctions. You agree to act in compliance with and be legally bound by these Terms and all applicable laws and regulations. These Terms are conditional on your continued compliance at all times with these Terms and all applicable laws and regulations.

BTCD Labs is committed to complying with all applicable AML and CTF laws and regulations. These standards are designed to prevent the use of the BTCD Services for money laundering, terrorist financing, fraudulent transactions, and any other illegal activities. BTCD Labs takes compliance very seriously and actively engages in measures to:

Applicable laws require us to prevent Restricted Persons from holding BTCD or using BTCD Services. A Restricted Person means any person that is the subject or target of any sanctions, including a person that is:

5. Eligibility; Limitations

The following applies to both Verified Users and Holding Users: BTCD Services and support for BTCD are currently only available to individuals and institutions (as applicable) located in supported jurisdictions.

By holding or using BTCD, sBTCD, FISC tokens, or accessing or using the BTCD Services, you further represent and warrant that:

Additionally, users in the United States are not eligible to become a Verified User. This restriction may be revisited from time to time taking into account relevant changes in law.

You also understand that there are additional representations and warranties made by you elsewhere in (or by reference in) these Terms and that any misrepresentation by you is a violation of these Terms.

If BTCD Labs suspects or determines that you or any of your authorized users or customers, as applicable, have violated these Terms, including, but not limited to, attempting to transact or transacting with Blocked Addresses (as defined in Section 11) or attempting to engage or engaging in Restricted Activities (as defined in Section 16) or Prohibited Transactions (as defined in Section 17), then BTCD Labs may be forced to terminate your status as a Verified User and you may forfeit any assets otherwise eligible for redemption.

Notwithstanding the foregoing, BTCD Labs may determine not to make BTCD or the BTCD Services, in whole or in part, available in every market, either in its sole discretion or due to legal or regulatory requirements, depending on your location. We may also, without liability to you or any third party, refuse to let you register as a Verified User.

The following only applies to Verified Users: Use of certain BTCD Services may have further eligibility requirements that will need to be verified prior to you using such BTCD Services, or from time to time in order to continue your use of the BTCD Services, and may be subject to additional terms and conditions.

6. Support

Please contact Support at legal@btcd.io to report any violations of these Terms or to ask any questions regarding these Terms or the BTCD Services, as applicable.

7. Copies, Wrappers, and Forks Not Supported

The following applies to both Verified Users and Holding Users: As a result of the decentralized and open source nature of BTCD it is possible that a party unaffiliated with BTCD Labs could create an alternative, equivalent version of BTCD either on one of the BTCD supported blockchains or on an unsupported blockchain (a "copy") that operate independently from BTCD. Similarly, it is possible that a party unaffiliated with BTCD Labs may create an asset and purport that such asset is collateralized by or otherwise incorporates BTCD into its design (a "wrapper"). BTCD Labs supports only BTCD, sBTCD, and FISC tokens and is under no obligation to support any copies of BTCD or wrappers and assumes no responsibility for any value that might be lost as a result of this lack of support of copies of BTCD. No such copy or wrapper should be considered approved, sold, distributed, or promoted by BTCD Labs unless explicitly stated.

As a result of the decentralized and open source nature of the blockchains on which BTCD is supported, it is possible that a party unaffiliated with BTCD Labs could create an alternative version of the blockchain (a "fork"). Note that in the event of a fork of one of the BTCD supported blockchains, BTCD Labs may be forced to suspend all activities relating to BTCD (including minting BTCD, redeeming BTCD for supported assets, staking BTCD, or sending and receiving BTCD) for an extended period of time until BTCD Labs has determined in its sole discretion that such functionality can be restored ("Downtime"). This Downtime will likely occur immediately upon a "fork", potentially with little to no warning, and during this period of Downtime you will not be able to conduct various activities involving BTCD, sBTCD, or FISC tokens. In the event of a fork of one of the BTCD supported blockchains, BTCD Labs shall, in its sole discretion, determine which fork it will support, if any.

8. BTCD Supported Blockchains and Smart Contract Modifications

BTCD operates on BTCD supported blockchains. BTCD Labs does not have any ability or obligation to prevent or mitigate attacks or resolve any other issues that might arise with any BTCD supported blockchain. Any such attacks or delays on any BTCD supported blockchain might materially delay or prevent you from sending or receiving BTCD, and BTCD Labs shall bear no responsibility for any losses that result from such issues.

Note that in certain circumstances, including, but not limited to, a copy or fork of a BTCD supported blockchain or the identification of a security issue with a BTCD supported blockchain, BTCD Labs may be forced to suspend all activities relating to BTCD (including minting BTCD, redeeming BTCD for assets, staking BTCD, or sending and receiving BTCD) for an extended period of time until such Downtime is over and BTCD Services can be restored. This Downtime will likely occur immediately upon a copy or fork of any BTCD supported blockchain, potentially with little to no warning, and during this period of Downtime you will not be able to conduct various activities involving BTCD.

BTCD Labs reserves the right to migrate BTCD to another blockchain or protocol in the future in its reasonable discretion. Upon BTCD Labs' request, you agree to take any and all actions reasonably necessary to effectuate the migration of your BTCD to another blockchain or protocol identified by BTCD Labs. BTCD Labs will not be responsible or liable for any damages, losses, costs, fines, penalties or expenses of whatever nature, whether or not reasonably foreseeable by the parties, which you may suffer, sustain or incur, arising out of or relating to your failure to effectuate such migration of your BTCD to another blockchain or protocol identified by BTCD Labs.

9. Privacy

We are committed to protecting your personal information and helping you understand exactly how your personal information is being used. You should carefully read the BTCD Labs Privacy Policy, as it provides details on how your personal information is collected, stored, protected, and used.

10. Communications

By entering into these Terms, you agree to receive electronic communications and notifications.

These Terms are provided to you and communicated in English. We will also communicate with you in English for all matters related to BTCD and your use of BTCD Services. Where we have provided you with a translation of the English language version of these Terms, you agree that such translation is provided for your convenience only and that the English language version of these Terms govern your holding and use of BTCD, sBTCD, FISC tokens, and the BTCD Services, as applicable.

11. Limited License; IP Rights

The following only applies to Verified Users: We grant you a limited, non-exclusive, non-sublicensable, and non-transferable license, subject to the terms and conditions of these Terms, to access and use the BTCD Services solely for approved purposes as determined by BTCD Labs. Any other use of the BTCD Services is expressly prohibited. BTCD Labs and its licensors reserve all rights in the BTCD Services and you agree that these Terms does not grant you any rights in or licenses to the BTCD Services except for the limited license set forth above. Except as expressly authorized by BTCD Labs, you agree not to modify, reverse engineer, copy, frame, scrape, rent, lease, loan, sell, distribute, or create derivative works based on the BTCD Services, in whole or in part. If you violate any portion of these Terms, your permission to access and use the BTCD Services may be terminated pursuant to these Terms.

"www.btcd.io", "BTCD Labs", "Bitcoin Dollar", "BTCD", "sBTCD", "FISC", and all logos related to the BTCD Services are either copyrights, trademarks, or registered marks of BTCD Labs or its licensors. Whether or not you are a Verified User, you may not copy, imitate, or use them without BTCD Labs' prior written consent. All right, title, and interest in and to the BTCD Labs website, any content thereon, the BTCD Services, and all technology and any content created or derived from any of the foregoing is the exclusive property of BTCD Labs and its licensors.

12. Risk Factors & Disclosures

The following list of risks associated with BTCD, sBTCD, FISC tokens, and the BTCD Services is not exhaustive.

IMPORTANT DISCLAIMERS

NO GUARANTEE OF RETURNS: Historical performance of BTCD and projected valuations are not guarantees of future results. Digital assets are highly volatile and speculative. Past performance does not predict future outcomes.

LOSS OF CAPITAL: You may lose your entire investment. FISC tokens may become worthless. There is no guarantee that you will recover any portion of your investment or that BTCD will maintain any particular value.

NOT REGISTERED: FISC tokens have not been registered with the U.S. Securities and Exchange Commission (SEC) or any securities regulator in any jurisdiction. You do not have the protections associated with registered offerings, including disclosure requirements, regulatory oversight, or investor protection mechanisms available for registered securities.

NO INVESTMENT ADVICE: Nothing in these Terms or any related materials constitutes investment, financial, legal, tax, or other professional advice. You should consult your own professional advisors before making any decision to acquire, hold, or use BTCD, sBTCD, or FISC tokens.

FORWARD-LOOKING STATEMENTS: Any projections, estimates, targets, or statements about future events (including protocol development, revenue generation, token valuations, partnerships, or market adoption) involve significant risks and uncertainties. Actual results may differ materially from any forward-looking statements. You should not rely on projections or forward-looking statements in making investment decisions.

RESTRICTED OFFERING: FISC tokens may be subject to transfer restrictions and may only be available to certain qualified or accredited investors in jurisdictions where such offerings are permitted under applicable law. You are responsible for ensuring that your acquisition and holding of FISC tokens complies with all applicable laws in your jurisdiction.

No guarantee of price stability on Third Party Platforms

BTCD Labs does not guarantee the value of one (1) BTCD. Due to a variety of factors, the value of BTCD on third-party platforms such as cryptocurrency exchange platforms, DeFi protocols, lending markets, or decentralized exchanges will fluctuate. Risk factors that may result in the volatility include but are not limited to: Bitcoin price volatility, extreme market conditions, failure of rebalancing mechanisms, negative funding rates in derivatives markets, smart contract exploits, oracle failures, liquidation cascades, counterparty failures, or loss of collateral value. BTCD Labs cannot control how third parties quote or value BTCD, and BTCD Labs is not responsible for any losses or other issues that may result from fluctuations in the value of BTCD.

Third-parties

BTCD Labs does not control or endorse any products, services, or platforms offered by third parties using the BTCD Services or supporting BTCD, sBTCD, or FISC tokens. Third parties may elect to support BTCD on their platforms without any authorization or approval by BTCD Labs. The availability of BTCD on any third-party platform does not imply that such services are valid, legal, stable, or otherwise appropriate.

BTCD Labs is not liable for any losses, issues, or consequences that may arise from third-party transactions or the use of BTCD, sBTCD, or FISC tokens on third-party platforms, including, but not limited to: (i) Failure to comply with applicable laws and regulations, including illegal transactions; (ii) The quality, delivery, or satisfaction of products and services facilitated by BTCD Services; (iii) Technical errors, loss of access, or inability to recover BTCD, sBTCD, or FISC tokens resulting from the use of third-party platforms; (iv) Smart contract vulnerabilities or exploits in integrated DeFi protocols; (v) Oracle failures or inaccurate price feeds; (vi) Liquidation events or forced position closures; (vii) Counterparty failures, insolvencies, or fraud by exchanges, custodians, or other service providers; (viii) Regulatory actions against partner platforms or DeFi protocols.

You accept all consequences of sending BTCD, sBTCD, or FISC tokens to third-party platforms or addresses, including the risk of loss or failure to recover your tokens. For the avoidance of doubt, BTCD Labs has no obligation to track, verify, or determine the provenance of BTCD balances or transactions involving third-party platforms.

You accept all consequences of sending BTCD

BTCD transactions are not reversible. Once you send BTCD, sBTCD, or FISC tokens to an address, you accept the risk that you may lose access to, and any claim on, those tokens indefinitely or permanently. For example, (i) an address may have been entered incorrectly and the true owner of the address may never be discovered, (ii) you may not have (or subsequently lose) the private key associated with such address, (iii) an address may belong to an entity that will not return the tokens, or (iv) an address belongs to an entity that may return the tokens but first requires action on your part, such as verification of your identity. For the avoidance of doubt, nothing in these Terms is intended to obligate BTCD Labs to track, verify or determine the provenance of BTCD, sBTCD, or FISC token balances for Users, including any form of security interests claimed thereon.

Blocked Addresses & Forfeited Funds

BTCD Labs reserves the right to "block" certain BTCD addresses of Verified Users that it determines, in its sole discretion, may be associated with illegal activity or activity that otherwise violates these Terms ("Blocked Addresses"). In certain circumstances, BTCD Labs may deem it necessary to report such suspected illegal activity to applicable law enforcement agencies and you may forfeit any rights associated with your BTCD, sBTCD, or FISC tokens, including the ability to redeem BTCD for any permitted assets. BTCD Labs may also be required to surrender associated assets held in the BTCD Reserve in the event it receives a legal order from a valid government authority requiring it to do so.

Smart Contract and Staking Risks

Staking BTCD to receive sBTCD involves interaction with smart contracts that may contain vulnerabilities or bugs. Smart contract risks include but are not limited to: code exploits, oracle failures, economic attacks, and governance attacks. You acknowledge that smart contracts are experimental technology and that losses due to smart contract failures are not recoverable from BTCD Labs.

Oracle failures may cause peg deviation, inaccurate pricing, or improper liquidations. Rebalancing mechanisms could fail during periods of extreme market volatility, potentially resulting in loss of collateral value or peg stability. The composability of BTCD with other DeFi protocols creates cascading risks—failures or exploits in connected protocols (including lending markets, decentralized exchanges, yield platforms, or other integrated DeFi applications) could negatively impact BTCD, sBTCD, or underlying collateral.

Additionally, staking may involve lock-up periods during which you cannot access your BTCD, and unstaking may involve delays. Staking rewards are not guaranteed and depend on protocol performance and market conditions.

FISC Governance Risks

Participation in FISC governance and holding FISC tokens involves significant risks including but not limited to:

Governance Risks: Governance proposals may be subject to manipulation, concentration of voting power among large holders, low participation rates, or contentious disputes. Governance decisions may negatively impact protocol economics, token value, or the interests of certain stakeholders. There is no guarantee that governance will function as intended or that beneficial outcomes will result. Malicious proposals could be passed that harm the protocol or token holders.

Economic Risks: FISC tokens are designed to capture value from protocol revenue, but there is no guarantee that:

Bitcoin price volatility directly impacts the value of collateral backing BTCD and may affect yields generated by the protocol. Market downturns, extreme volatility, or prolonged negative funding rate environments could materially reduce or eliminate protocol revenue, negatively impacting FISC token value.

Regulatory Risks: The regulatory treatment of governance tokens, particularly those with economic rights such as revenue sharing, is uncertain and evolving. FISC tokens may be classified as securities under applicable securities laws, which could:

The tax treatment of FISC tokens, staking rewards, governance participation, and revenue distributions is unclear in most jurisdictions. You may face unexpected tax liabilities, and tax treatment may change unfavorably. Regulatory action against partner platforms, DeFi protocols, or custodians could disrupt BTCD operations and negatively impact FISC value.

Liquidity Risks: FISC tokens may have limited liquidity or no liquidity on secondary markets. There is no guarantee that FISC tokens will be tradable on any exchange. Even after any vesting periods end, you may be unable to sell FISC tokens at desired prices or at all. You may be unable to sell FISC tokens at any price. Lock-up periods, vesting schedules, or transfer restrictions may prevent you from selling FISC tokens even if you wish to exit your position. In the event you need liquidity, you may suffer significant losses or be completely unable to liquidate your position.

Partnership and Operational Risks: The success of the Bitcoin Dollar protocol depends on operational capacity and technical expertise to manage complex DeFi strategies. Counterparty risk exists with custodians, exchanges, derivatives platforms, and other service providers. Third-party platform failures, exploits, or insolvencies could result in capital loss.

Smart Contract and Technical Risks: FISC governance mechanisms, revenue distribution systems, and related smart contracts rely on complex code that may contain vulnerabilities. Technical failures, oracle manipulations, governance exploits, or interactions with buggy external protocols could result in loss of value, loss of control over the protocol, or inability to access economic rights.

Market and Competition Risks: FISC token value depends on the Bitcoin Dollar protocol's ability to compete effectively in the market. The protocol may face competition from other stablecoin protocols and Bitcoin-backed products. The protocol may fail to achieve sufficient scale, market adoption, or differentiation to generate sustainable competitive advantages.

No Equity or Ownership in BTCD Labs: FISC tokens do not represent equity, ownership, shares, securities, or any ownership interest in BTCD Labs Ltd. or any of its affiliates. FISC tokens only provide governance and potential economic rights within the Bitcoin Dollar protocol ecosystem as described herein. FISC holders have no claim on the assets, intellectual property, or business operations of BTCD Labs or its affiliates beyond the specific rights granted by the protocol.

Software protocols and operational challenges

You are aware of and accept the risk of operational challenges. BTCD Labs may experience sophisticated cyber-attacks, unexpected surges in activity or other operational or technical difficulties that may cause interruptions to the BTCD Services. You understand that the BTCD Services may experience operational issues that lead to delays, including delays in minting, redeeming, or staking BTCD. You agree to accept the risk of transaction failure resulting from unanticipated or heightened technical difficulties, including those resulting from sophisticated attacks. You agree not to hold BTCD Labs accountable for any related losses.

Compliance

You are responsible for complying with applicable law. You agree that BTCD Labs is not responsible for determining whether or which laws may apply to your transactions, including tax laws. You are solely responsible for reporting and paying any taxes arising from your use of BTCD, sBTCD, FISC tokens, or the BTCD Services, including any accurate reporting of the tax or legal status of BTCD in your jurisdiction.

Legal treatment of BTCD transfers

The regulatory status of BTCD and blockchain technology is unclear or unsettled in many jurisdictions. It is difficult to predict how or whether regulatory agencies may apply existing regulation with respect to BTCD, blockchain technology and its applications. Accordingly, it is not possible to determine whether a BTCD transfer would be recognized under applicable law by a court or regulator.

Legislative and regulatory changes

Legislative and regulatory changes or actions at the international level may adversely affect the minting of BTCD, and the use, transfer, redemption, staking and/or value of BTCD, sBTCD, and FISC tokens.

No deposit insurance

BTCD, sBTCD, or FISC tokens held in your wallet are not subject to deposit insurance protection, including, but not limited to, (i) where your country of residence is the United States, the Federal Deposit Insurance Corporation (FDIC) insurance or Securities Investor Protection Corporation protections (SIPC); or (ii) where your country of residence is outside of the United States, the United Kingdom Financial Services Compensation Scheme (FSCS) or equivalent scheme in your country of residence.

Claim on funds

Only Verified Users can redeem BTCD directly with BTCD Labs. For Verified Users, your ability to redeem with us for each BTCD is conditional on (i) your possession of a corresponding amount of BTCD associated with a Verified User, (ii) no violation of these Terms or your BTCD Verified User Agreement, and (iii) no action, pending or otherwise, by a regulator, law enforcement or a court of competent jurisdiction that would restrict redemption. The value received upon redemption may be significantly less than the value paid at minting and is not guaranteed.

Sending BTCD to another address automatically transfers and assigns to that Holding User, and any subsequent Holding User, the right to redeem BTCD with us so long as the Holding User is eligible to, and does, register as a Verified User. There is no guarantee regarding eligibility to become a Verified User or the value that may be received upon redemption.

Encumbrances

Depending on the actions of the owners of BTCD addresses before your receipt of BTCD from another BTCD address, it is possible that the transfer of BTCD between BTCD addresses could result in the BTCD in your whitelisted wallet becoming subject to a lien or other form of security interest before redemption.

On-chain transactions irreversible

When BTCD, sBTCD, or FISC tokens are sent to a third-party address, such transaction is completed on BTCD supported blockchains. This means that such a transaction is irreversible and BTCD Labs does not have the ability to reverse or recall any transaction once initiated. You bear all responsibility for any losses that might be incurred as a result of sending BTCD, sBTCD, or FISC tokens to an incorrect or unintended address.

Affiliate Activities

You understand and agree that individuals or entities affiliated with BTCD Labs may hold, purchase, sell, stake, or otherwise engage in transactions using or involving BTCD, sBTCD, or FISC tokens. You further understand and agree that such persons may engage in this activity for any reason, including but not limited to engaging in commercial transactions, promoting transaction activity that utilizes BTCD, or otherwise supporting the use or adoption of BTCD. This activity may involve selling BTCD to other entities for provision to their end users, integrating BTCD into DeFi protocols, or providing liquidity. You understand and agree that no individual or entity, whether affiliated with BTCD Labs or otherwise, is under any obligation to engage in these activities, and they may be discontinued at any time.

13. Fees; Authorization

The following only applies to Verified Users: Except as disclosed to you prior to completing a transaction as a Verified User, BTCD Labs will not charge you any fees for minting BTCD, redeeming BTCD, or staking BTCD. Any cost of executing a mint, redemption, or staking transaction is a cost reimbursement to cover friction such as blockchain gas fees or execution fees paid by BTCD Labs.

14. Currency Conversion

The following only applies to Verified Users: All minting of BTCD will be credited in BTCD to your whitelisted wallet(s) based on a rate determined by BTCD Labs in its sole discretion at the time of minting, calculated based on the notional value of accepted assets provided (measured in accepted stablecoin value or BTC equivalent), less applicable fees and transaction costs associated with the transaction, including, for the avoidance of doubt, fees paid associated with the applicable blockchain consensus mechanism. Such value and exchange rate shall be calculated by BTCD Labs based on the asset in its sole discretion, with any transaction fees associated with the blockchain consensus mechanism determined by requirements of the underlying blockchain at the time the transaction is submitted by the Verified User. There is no guarantee regarding the future value or redemption value of BTCD.

15. Right to Change/Remove Features or Suspend/Delay Transactions

The following only applies to Verified Users: We reserve the right to (i) change, suspend, or discontinue any aspect of the BTCD Services at any time, including hours of operation or availability of any feature, without notice and without liability and (ii) decline to process any minting or redemption without prior notice and may limit or suspend your use of one or more BTCD Services at any time, in our sole discretion. Our rights under this paragraph are subject to our obligations under applicable law and licenses, including but not limited to our reasonable suspicion of inappropriate or illegal conduct. Suspension of your use of any of the BTCD Services will not affect your rights and obligations pursuant to these Terms. We may, in our sole discretion, delay minting or redemptions if we reasonably believe the transaction is suspicious, may involve fraud or misconduct, violates applicable laws, or violates the terms of these Terms.

16. Transactions Irreversible

The following only applies to Verified Users: Once a transaction has been initiated, it cannot be reversed, as further described in Section 12 above and pursuant to the underlying blockchain consensus mechanism. Except as set forth in these Terms, all transactions processed through the BTCD Services are nonrefundable.

17. Restricted Activities

In connection with your holding or use of BTCD, sBTCD, FISC tokens, or the BTCD Services (as applicable), you hereby agree that you will not:

18. Prohibited Transactions

Using BTCD, sBTCD, FISC tokens, or the BTCD Services for transactions related to the following is prohibited, and BTCD Labs reserves the right to monitor and, if appropriate, block or otherwise prevent transactions that relate to:

In the event that BTCD Labs learns you are making any such Prohibited Transactions, BTCD Labs will consider you to be in violation of these Terms and may also suspend or terminate your status as a Verified User.

19. Taxes

The following only applies to Verified Users: BTCD Labs will maintain a record of your transaction history pursuant to the terms of the BTCD Verified User Agreement. This transaction history will include all transactions you complete with BTCD Labs including minting BTCD, redeeming BTCD, staking BTCD to receive sBTCD, unstaking sBTCD, and FISC token transactions. User is solely responsible for all applicable taxes in connection with transactions in the specific jurisdiction where the user resides.

20. Indemnification; Release

The following only applies to Verified Users: Section 22 of the BTCD Verified User Agreement is hereby incorporated into these Terms by reference and shall apply in all respects to these Terms and your use of BTCD Services and our products and services as contemplated herein.

The following only applies to Holding Users: You agree to indemnify and hold BTCD Labs, its affiliates (including FISC Protocol Ltd. and Dollar Foundation), and service providers, and each of their officers, directors, agents, joint venturers, employees, and representatives harmless from any claim or demand (including attorneys' fees and any losses, fines, fees or penalties imposed by any regulatory authority) arising out of your breach of these Terms, your violation of any law or regulation or your holding or use of BTCD, sBTCD, or FISC tokens.

For the purpose of this Section 20, the term "losses" means all net costs reasonably incurred by us or the other persons referred to in this Section which are the result of the matters set out in this Section 20 and which may relate to any claims, demands, causes of action, debt, cost, expense or other liability, including reasonable legal fees (without duplication).

If you have a dispute with one or more Verified Users, Holding Users or third parties, you release BTCD Labs (and its affiliates and service providers, and each of their officers, directors, agents, joint ventures, employees and representatives) from all claims, demands, and damages (actual and consequential) of every kind and nature arising out of or in any way connected with such disputes.

21. Limitation of Liability; No Warranty

The following only applies to Verified Users: Section 23 of the BTCD Verified User Agreement is hereby incorporated into these Terms by reference and shall apply in all respects to these Terms and your use of BTCD Services and our products and services as contemplated herein.

The following only applies to Holding Users: YOU EXPRESSLY UNDERSTAND AND AGREE THAT BTCD LABS AND OUR AFFILIATES AND SERVICE PROVIDERS, AND THEIR RESPECTIVE OFFICERS, DIRECTORS, AGENTS, JOINT VENTURERS, EMPLOYEES, AND REPRESENTATIVES WILL NOT BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, EXEMPLARY DAMAGES, OR DAMAGES FOR LOSS OF PROFITS INCLUDING BUT NOT LIMITED TO, DAMAGES FOR LOSS OF GOODWILL, USE, DATA, OR OTHER INTANGIBLE LOSSES (EVEN IF BTCD LABS HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES), WHETHER BASED ON CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY, OR OTHERWISE, RESULTING FROM: (I) THE USE OR THE INABILITY TO HOLD OR USE BTCD, sBTCD, OR FISC TOKENS; (II) THE COST OF PROCUREMENT OF SUBSTITUTE GOODS AND SERVICES RESULTING FROM ANY GOODS, DATA, INFORMATION, OR SERVICES PURCHASED OR OBTAINED OR MESSAGES RECEIVED OR TRANSACTIONS ENTERED INTO INVOLVING BTCD, sBTCD, OR FISC TOKENS; (III) UNAUTHORIZED ACCESS TO OR ALTERATION OF YOUR TRANSMISSIONS OR DATA; (IV) SMART CONTRACT VULNERABILITIES OR FAILURES; (V) STAKING LOSSES OR FAILURE TO RECEIVE EXPECTED REWARDS; (VI) GOVERNANCE DECISIONS OR ACTIONS; OR (VII) ANY OTHER MATTER INVOLVING BTCD, sBTCD, OR FISC TOKENS.

SOME JURISDICTIONS DO NOT ALLOW THE EXCLUSION OF CERTAIN WARRANTIES OR THE LIMITATION OR EXCLUSION OF LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES. ACCORDINGLY, SOME OF THE LIMITATIONS SET FORTH ABOVE MAY NOT APPLY TO YOU. IF YOU ARE DISSATISFIED WITH BTCD, sBTCD, FISC TOKENS, YOUR SOLE AND EXCLUSIVE REMEDY IS TO DISCONTINUE HOLDING AND USE OF BTCD, sBTCD, AND FISC TOKENS.

BTCD, sBTCD, AND FISC TOKENS ARE PROVIDED "AS IS" AND WITHOUT ANY REPRESENTATION OR WARRANTY, WHETHER EXPRESS, IMPLIED OR STATUTORY. BTCD LABS, OUR AFFILIATES, AND OUR RESPECTIVE OFFICERS, DIRECTORS, AGENTS, JOINT VENTURERS, EMPLOYEES, AND SUPPLIERS SPECIFICALLY DISCLAIM ANY IMPLIED WARRANTIES OF TITLE, MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE OR NON-INFRINGEMENT. BTCD LABS MAKES NO WARRANTY THAT (I) BTCD, sBTCD, OR FISC TOKENS WILL MEET YOUR REQUIREMENTS, (II) BTCD, sBTCD, OR FISC TOKENS OR BTCD SERVICES WILL BE UNINTERRUPTED, TIMELY, SECURE, OR ERROR-FREE, (III) SMART CONTRACTS WILL FUNCTION AS INTENDED, (IV) STAKING WILL GENERATE REWARDS, OR (V) THE QUALITY OF ANY PRODUCTS, SERVICES, INFORMATION, OR OTHER MATERIAL PURCHASED OR OBTAINED BY YOU WILL MEET YOUR EXPECTATIONS.

22. Force Majeure

BTCD Labs shall have no liability for any failure or delay resulting from any condition beyond our reasonable control, including but not limited to governmental action or acts of terrorism, earthquake, fire, flood, or other acts of God, labor conditions, power failures, equipment failures, smart contract failures, blockchain network congestion or failures, and Internet disturbances.

23. Amendments

BTCD Labs may amend any portion of these Terms at any time by posting the revised version of these Terms with an updated revision date. The changes will become effective, and shall be deemed accepted by you, the first time you access or use BTCD, sBTCD, FISC tokens, or the BTCD Services after the initial posting of the revised Terms and shall apply on a going-forward basis with respect to transactions initiated after the posting date. In the event that you do not agree with any such modification, your sole and exclusive remedy is to terminate your use of the BTCD Services and terminate your status as a Verified User (if any). You agree that we shall not be liable to you or any third party as a result of any losses suffered by any modification or amendment of these Terms.

If the revised Terms include a material change, we will provide you with prior notice via our website and/or email before the material change becomes effective. For this purpose a "material change" means a significant change other than changes that (i) are to your benefit, (ii) are required to be made to comply with applicable laws and/or regulations or as otherwise required by one of our regulators, (iii) relates to a new product or service made available to you, or (iv) otherwise clarifies an existing term.

24. Assignment and Third-Party Holders

You may not transfer or assign these Terms or any rights or obligations hereunder, by operation of law or otherwise and any such attempted assignment shall be void, subject to the following exception. Sending BTCD to an address will automatically transfer and assign to that Holder, and any subsequent Holder, the right to redeem BTCD so long as the Holder is eligible to, and does, register as a Verified User. There is no guarantee regarding the value that may be received upon redemption or eligibility to become a Verified User.

Each Holding User is subject to all terms of these Terms as if a user including, but not limited to, the requirements to not transact with Blocked Addresses and not engage in Restricted Activities or Prohibited Transactions.

We reserve the right to freely assign these Terms and the rights and obligations of these Terms to any third party at any time without notice or consent. If you object to such transfer or assignment, you may stop holding and using BTCD, sBTCD, and FISC tokens; further if you are a Verified User, you may also stop using our BTCD Services, and terminate these Terms by contacting Support and asking us to terminate your status as a Verified User.

25. Survival

Upon termination of these Terms (and termination of your status as a Verified User, if you are a Verified User), all rights and obligations of the parties that by their nature are continuing will survive such termination.

26. Website; Third Party Content

BTCD Labs strives to provide accurate and reliable information and content on the BTCD Labs website, but such information may not always be correct, complete, or up to date. BTCD Labs will update the information on the BTCD Labs website as necessary to provide you with the most up to date information, but you should always independently verify such information. The BTCD Labs website may also contain links to third-party websites, applications, DeFi protocols, decentralized exchanges, lending platforms, events or other materials ("Third Party Content"). Such information is provided for your convenience and links or references to Third Party Content do not constitute an endorsement by BTCD Labs of any products or services. BTCD Labs shall have no liability for any losses incurred as a result of actions taken in reliance on the information contained on the BTCD Labs website or in any Third Party Content.

27. Governing Law; Venue

The laws of the British Virgin Islands shall govern these Terms. The courts of the British Virgin Islands shall have exclusive jurisdiction to settle any dispute arising out of, or connected with, these Terms.

28. Entire Agreement

The following applies to both Verified Users and Holding Users: The failure of BTCD Labs to exercise or enforce any right or provision of these Terms shall not constitute a waiver of such right or provision. If any provision of these Terms shall be adjudged by any court of competent jurisdiction to be unenforceable or invalid, that provision shall be limited or eliminated to the minimum extent necessary so that these Terms shall otherwise remain in full force and effect and remain enforceable between the parties, except as specified in Section 28. Furthermore, if any portion of these Terms, whether in whole, or in part, shall be adjudged by any court of competent jurisdiction to be unenforceable or invalid against certain persons or categories of persons that are purportedly bound by these Terms, such portion of these Terms shall otherwise remain in full force and effect and remain enforceable as to any other persons bound by these terms. The headings and explanatory text are for reference purposes only and in no way define, limit, construe, or describe the scope or extent of such section. These Terms, the BTCD Verified User Agreement, and BTCD Labs' policies governing the holding or use of BTCD, sBTCD, FISC tokens, the use of the BTCD Services referenced herein, and the Privacy Policy constitute the entire agreement between you and BTCD Labs with respect to the holding or use of BTCD, sBTCD, FISC tokens, and the use of the BTCD Services. These Terms are not intended and shall not be construed to create any rights or remedies in any parties other than you and BTCD Labs and other BTCD Labs affiliates which each shall be a third-party beneficiary of these Terms, and no other person shall assert any rights as a third-party beneficiary hereunder.

The following only applies to Verified Users: Notwithstanding anything to the contrary set forth in these Terms or otherwise, in the event of a conflict between any term set forth herein and any term set forth in the BTCD Verified User Agreement (i) in connection with any BTCD transaction, the terms of these Terms shall control, and (ii) in respect of any other Digital Currency transaction, the terms of the BTCD Verified User Agreement shall control.

29. E-Sign Consent

Please be aware that your consent to the electronic delivery of disclosures is required to use any of the Services (as defined in the BTCD Verified User Agreement). If you are unable or unwilling to provide such consent, you will not be able to become a Verified User. Once you are a Verified User you can rescind your consent to electronic delivery of disclosures at any time and receive paper communications as set forth below.

This E-Sign Consent applies to any and all communications and/or disclosures that BTCD Labs is legally required to provide to you in writing in connection with your status as a Verified User and any related products and services ("Communications"). This E-Sign Consent supplements and is to be construed in accordance with the terms and conditions contained in the BTCD Verified User Agreement.

When you use the Services, you agree that we may provide you with any Communications in electronic format, and that we may discontinue sending paper Communications to you, unless and until you withdraw your consent as described below. Your consent to receive electronic communications and transactions includes, but is not limited to:

Methods of Communication

All Communications that we provide to you in electronic form will be provided by e-mail, by posting to the BTCD Labs website (www.btcd.io), or through other electronic communication such as mobile push notification or text message.

Hardware Requirements

In order to access, view, and retain electronic Communications that we make available to you, you must have the following software and hardware:

Updating your Information

It is your responsibility to provide us with a true, accurate and complete e-mail address, your contact information, and other information related to this E-Sign Consent and your registration, keep such information up to date.

Withdrawing Consent

You may withdraw your consent to receive electronic Communications at any time by sending us a written request by email to legal@btcd.io. You understand that any withdrawal of your consent to receive electronic Communications will be effective only after BTCD Labs has had a reasonable period of time to process your withdrawal. You understand that withdrawing your consent to electronic Communications will likely result in the termination of your status as a Verified User.

Communications in Writing

All electronic Communications from us to you will be considered "in writing" and shall have the same meaning and effect as a paper Communication. You should print or download for your records a copy of this E-Sign Consent and any other Communication that is important to you. You acknowledge and agree that Communications are considered received by you within 24 hours of the time posted to the BTCD Labs website (www.btcd.io), or within 24 hours of the time emailed to you unless BTCD Labs receives notice that the email was not delivered.

General

BTCD Labs reserves the right, in our sole discretion, to cancel this electronic Communication service, or to terminate or change the terms and conditions on which BTCD Labs provides electronic Communications. BTCD Labs will provide you with notice of any such termination or change as required by law.